Equity markets aren't blinking so far today even though joblessness in the U.S. shows no sign of abatement:
We're more than two-thirds of the way through the third quarter. Back to school spending has been a disappointment. The recovery that optimists have forecast for the second half of 2009 has a ton of catching up to do, so we'll have to see a blowout Christmas shopping season. That will be tough to deliver with homeowners defaulting on their prime mortgages.
I'm still short the U.S.
The pace of U.S. job losses slowed in August while the unemployment rate reached a 26-year high, signaling the recovery from recession will be slow to develop.
We're more than two-thirds of the way through the third quarter. Back to school spending has been a disappointment. The recovery that optimists have forecast for the second half of 2009 has a ton of catching up to do, so we'll have to see a blowout Christmas shopping season. That will be tough to deliver with homeowners defaulting on their prime mortgages.
I'm still short the U.S.
